Winnipeg Real Estate News Updates - July 2021
July 25, 2021 | Posted by:
It’s hard to believe that August is almost here (at press), but as the days of July wind down it’s time to chime in with an update regarding Winnipeg real estate. Does it remain as hot as the weather has been? Is it still a good time to enter the market? Is there anything else? Let’s find out!
Recent Developments in the Winnipeg Real Estate Market You Need to Know About as of July 2021
Mortgage Rate Response to Latest Bank of Canada Announcement
Our Winnipeg real estate news updates may run like clockwork, but so does the news coming down from the Bank of Canada. While their mid-July announcement regarding the prime rate was equally predictable (maintained at .25%) the “response” from mortgage rates were unexpected. After a year of record breaking lows there was no way both fixed and variable rates could possibly spend another July at the bottom of the lake. Lenders have to pay bills too, right? Well, seeing as the Bank of Canada admitted that economic recovery was moving slower than expected, and that they didn’t anticipate to hit inflation goals until mid-2022, there was simply no way for rates to come back up. This month, Rate Hub reported variable rates under 1% (lowest in Canadian history) and 5-year fixed rates under 1.75%. First time buyers may never again have such an opportunity to enter the market.
Winnipeg Condo Sales Nearly Double YoY
Speaking of first time buyers (our concluding sentence above), they’ve been scooping up condos in record breaking numbers. Year-over-year (YoY) data from June indicates a near doubling of sales. Rock-bottom mortgage rates are a driving force, but pricing is also a major motivator for new buyers. While the costs of single detached homes in Winnipeg are affordable when compared to the rest of the country, market values have risen significantly, and have priced some new buyers out of the sector. Highly attractive condominium properties on the other hand, are still bafflingly priced low. Realtors report that the average sale price of a residential home in Winnipeg is approximately $380,000 dollars, whereas desirable condos are selling for just around the $240,000 mark. Prospective home buyers and investors in Vancouver, Calgary, Toronto, and Montreal are rethinking their residencies. But don’t worry Manitoban, you’ve still got first dibs as long as you act now. Get pre-approved on a condominium mortgage (or any mortgage) and lock-in your rates but contacting mortgage specialist Ron Chan at 204.290.9950.